The authority of an educational institution to confer degrees terminates upon determination by the state board that any of the following has occurred:

1. 1. Discontinuance of instruction The substantial discontinuance of instruction by the educational institution;

   [PL 1991, c. 563, §4 (NEW).]

2. 2. Sale of stock The sale, exchange or other transfer of all or a substantial part of the voting stock of an educational institution;

   [PL 1991, c. 563, §4 (NEW).]

3. 3. Sale or lease of assets The sale, exchange, lease or other transfer of all or a substantial part of the assets of an educational institution; or

   [PL 1991, c. 563, §4 (NEW).]

4. 4. Merger; consolidation; reorganization The merger or consolidation of the educational institution with an external entity, or the reorganization of the educational institution, including, but not limited to, reorganization in bankruptcy. This subsection does not apply and authority to confer degrees is not terminated if degree programs are consolidated or reorganized within an educational institution and are at the same level as those authorized by the Legislature or the state board prior to the consolidation or reorganization.

   [PL 2009, c. 274, §13 (AMD).]

PL 1991, c. 563, §4 (NEW). PL 2007, c. 572, Pt. A, §14 (AMD). PL 2009, c. 274, §13 (AMD).